Robert.Jervis_43227 Jul 18

Property and Palletforce drives Elddis Transport onward

Property and Palletforce drives Elddis Transport onward image

Elddis Transport increased its turnover and profit in 2018, despite the County Durham company getting a drubbing from the Beast from the East

Turnover rose to £27.4m from £26.9m in 2017 and pre-tax profit rose by 37.5% during the period to £658,338.

The company said that despite the havoc caused by the exceptional weather conditions in the early part of 2018 and the impact it had on its operations, the business strengthened its position in the marketplace.

It cited a revaluation of its property portfolio and success in leasing out business units and offices as having a positive impact on its financial position.

Nigel Cook, Elddis MD, said it had rented out property to a new customer and was reaping the benefits.

“We’ve always had a lot of property and always had tenants,” he said.

“It’s been a little bit more successful in the last couple of years. It’s a slight diversification from the norm and provides a consistent income going forward which we can invest in the business,” Cook added.

Cook said that concerns over the impact of Brexit had led to stockpiling by some customers, which also benefitted the business:

“We have a 100,000sq ft of warehousing of our own and that’s done quite well for the first six months of the year."

Another benefit to Elddis Transport during the period was it gaining membership of the Palletforce network, covering distribution in the North East of the country.

Cook said:

“We had been looking at an opportunity to develop the business; we thought a pallet network would be good to build on what we do.

“An opportunity arose following the demise of Simpsons Logistics and we have a small area with our own postcode.

“We’re just doing one trunk a day in and out, sometimes a second one.

“It was implemented very smoothly. At this moment in time it’s a nice addition to the business; another string to our bow. It has opened doors to new business.”

Source: MotorTransport